Comments on: Poll: With Interest Rates on Savings and CDs Continuing to Drop, What Are You Doing With Cash? http://genxfinance.com/2009/03/04/poll-with-interest-rates-on-savings-and-cds-continuing-to-drop-what-are-you-doing-with-cash/ Helping a unique generation achieve financial independence. Sat, 20 Mar 2010 15:15:15 +0000 http://wordpress.org/?v=2.9.1 hourly 1 By: Emily http://genxfinance.com/2009/03/04/poll-with-interest-rates-on-savings-and-cds-continuing-to-drop-what-are-you-doing-with-cash/#comment-110120 Emily Fri, 13 Mar 2009 20:33:52 +0000 http://genxfinance.com/?p=1400#comment-110120 Thanks for posting, you bring up some vaild points. I agree with poster KC that rewards checking is another viable option. Community banks continue to offer higher yields on short term deposits to serve as economic engines, and are currently offering the best interest rates on free checking accounts. At CheckingFinder (www.checkingfinder.com), you can type in your zip code to research and compare rates of high yield checking accounts in your area. If you find an account that suits you, you can open it for free. They also have online banking - you can check out each bank's requirements and the best rates on short term deposits at select community banks nationwide. Thanks, Emily (CheckingFinder) Thanks for posting, you bring up some vaild points. I agree with poster KC that rewards checking is another viable option. Community banks continue to offer higher yields on short term deposits to serve as economic engines, and are currently offering the best interest rates on free checking accounts. At CheckingFinder (www.checkingfinder.com), you can type in your zip code to research and compare rates of high yield checking accounts in your area. If you find an account that suits you, you can open it for free. They also have online banking – you can check out each bank’s requirements and the best rates on short term deposits at select community banks nationwide.

Thanks,

Emily (CheckingFinder)

]]> By: Chris http://genxfinance.com/2009/03/04/poll-with-interest-rates-on-savings-and-cds-continuing-to-drop-what-are-you-doing-with-cash/#comment-108758 Chris Thu, 05 Mar 2009 19:36:50 +0000 http://genxfinance.com/?p=1400#comment-108758 @ Finance Junkie: I have GOT to get an investment property.. Just don't have the cajones to jump in yet.. @ Finance Junkie:

I have GOT to get an investment property.. Just don’t have the cajones to jump in yet..

]]> By: Finance Junkie http://genxfinance.com/2009/03/04/poll-with-interest-rates-on-savings-and-cds-continuing-to-drop-what-are-you-doing-with-cash/#comment-108644 Finance Junkie Thu, 05 Mar 2009 04:26:43 +0000 http://genxfinance.com/?p=1400#comment-108644 I'm paying off my investment properties. Weighted average interest rate on properties is 5.2%. I'm beating CD rates big time, even after factoring in the lower year-over-year interest rate tax deductions. I’m paying off my investment properties. Weighted average interest rate on properties is 5.2%. I’m beating CD rates big time, even after factoring in the lower year-over-year interest rate tax deductions.

]]> By: Pinyo http://genxfinance.com/2009/03/04/poll-with-interest-rates-on-savings-and-cds-continuing-to-drop-what-are-you-doing-with-cash/#comment-108606 Pinyo Wed, 04 Mar 2009 22:05:17 +0000 http://genxfinance.com/?p=1400#comment-108606 Despite all the changes, I haven't made any major change (only some minor tweaks). I sticking to my long-term plan. Despite all the changes, I haven’t made any major change (only some minor tweaks). I sticking to my long-term plan.

]]> By: E.D. http://genxfinance.com/2009/03/04/poll-with-interest-rates-on-savings-and-cds-continuing-to-drop-what-are-you-doing-with-cash/#comment-108601 E.D. Wed, 04 Mar 2009 21:06:48 +0000 http://genxfinance.com/?p=1400#comment-108601 Any cash besides our emergency fund is slowly being used to pay debt. That money was going to be used for home renovations, but that can wait. We have a student loan at 3%, a mortgage at 3.95% (taking into account the tax deduction) and our ING accounts are <3% even when all of our older high interest rates are taken into account. Any cash besides our emergency fund is slowly being used to pay debt. That money was going to be used for home renovations, but that can wait.

We have a student loan at 3%, a mortgage at 3.95% (taking into account the tax deduction) and our ING accounts are <3% even when all of our older high interest rates are taken into account.

]]> By: Diana http://genxfinance.com/2009/03/04/poll-with-interest-rates-on-savings-and-cds-continuing-to-drop-what-are-you-doing-with-cash/#comment-108592 Diana Wed, 04 Mar 2009 20:07:44 +0000 http://genxfinance.com/?p=1400#comment-108592 Haha, spending more is not an option?? Well, since the incentive to make my savings to grow bigger is not quite there anymore, I'm more willing to spend money on things that I need/want for a long time/saved up for. For example, I just spent over $1K to take care of car repairs that have been postponed, and got myself a nice Le Creuset pan that I've been wanting for a long time. If there is something I can invest on right now that will be a sure gain, it would be my life. Haha, spending more is not an option??

Well, since the incentive to make my savings to grow bigger is not quite there anymore, I’m more willing to spend money on things that I need/want for a long time/saved up for. For example, I just spent over $1K to take care of car repairs that have been postponed, and got myself a nice Le Creuset pan that I’ve been wanting for a long time. If there is something I can invest on right now that will be a sure gain, it would be my life.

]]> By: Chris http://genxfinance.com/2009/03/04/poll-with-interest-rates-on-savings-and-cds-continuing-to-drop-what-are-you-doing-with-cash/#comment-108586 Chris Wed, 04 Mar 2009 19:38:16 +0000 http://genxfinance.com/?p=1400#comment-108586 Jeremy - Very true.. I just feel there needs to be a firm line drawn between a person's emergency fund and investments. I agree 100%, it is terribly frustrating to earn close to zero on cash, but that is the price we are paying for security and liquidity right now. Nice blog, BTW. I have it saved as a favorite and look forward to keeping up to speed on it. Cheers! Chris Jeremy – Very true.. I just feel there needs to be a firm line drawn between a person’s emergency fund and investments. I agree 100%, it is terribly frustrating to earn close to zero on cash, but that is the price we are paying for security and liquidity right now.

Nice blog, BTW. I have it saved as a favorite and look forward to keeping up to speed on it.

Cheers!

Chris

]]> By: KC http://genxfinance.com/2009/03/04/poll-with-interest-rates-on-savings-and-cds-continuing-to-drop-what-are-you-doing-with-cash/#comment-108579 KC Wed, 04 Mar 2009 18:55:04 +0000 http://genxfinance.com/?p=1400#comment-108579 We've got our cash in a rewards checking that is paying 4.53% on balances up to $50,000. We're disciplined enough to not spend out emergency fund and like that we have immediate access to it if we actually had an emergency. We used to keep our cash in HSBC, but for an extra 2% interest it was worth the move. We’ve got our cash in a rewards checking that is paying 4.53% on balances up to $50,000. We’re disciplined enough to not spend out emergency fund and like that we have immediate access to it if we actually had an emergency. We used to keep our cash in HSBC, but for an extra 2% interest it was worth the move.

]]> By: Jeremy http://genxfinance.com/2009/03/04/poll-with-interest-rates-on-savings-and-cds-continuing-to-drop-what-are-you-doing-with-cash/#comment-108564 Jeremy Wed, 04 Mar 2009 16:09:50 +0000 http://genxfinance.com/?p=1400#comment-108564 Chris, I'm not suggesting investing in stocks or bonds are a safe alternative to a savings account. But when savings rates were over 4%, a lot of people (including myself) were happy to put even more money into cash than was probably needed. Now there is little incentive to do that. If you already have your 6 months of expenses worth or whatever you're comfortable with in savings, money that doesn't need to be completely liquid may have more attractive options now that rates are so low. Chris, I’m not suggesting investing in stocks or bonds are a safe alternative to a savings account. But when savings rates were over 4%, a lot of people (including myself) were happy to put even more money into cash than was probably needed.

Now there is little incentive to do that. If you already have your 6 months of expenses worth or whatever you’re comfortable with in savings, money that doesn’t need to be completely liquid may have more attractive options now that rates are so low.

]]> By: the weakonomist http://genxfinance.com/2009/03/04/poll-with-interest-rates-on-savings-and-cds-continuing-to-drop-what-are-you-doing-with-cash/#comment-108563 the weakonomist Wed, 04 Mar 2009 16:05:01 +0000 http://genxfinance.com/?p=1400#comment-108563 Where is the option for "I wish I had some cash to worry about"? Just kidding, I've faithfully kept my money in ING Direct. It's not their fault rates keep falling, but it still hurts! Where is the option for “I wish I had some cash to worry about”?

Just kidding, I’ve faithfully kept my money in ING Direct. It’s not their fault rates keep falling, but it still hurts!

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